Richter shares rise as US approves OTC contraceptive

Pharma

Shares of Richter Gedeon Nyrt, eastern Europe's biggest drugmaker by stock market value, rose after the „morning after” contraceptive pill the Hungarian company makes was cleared for sale without a prescription. The stock added 1.7% to close at Ft 46,980 in Budapest, the ninth straight increase. The shares rallied when the US Food and Drug Administration (FDA) announced Barr Pharmaceuticals Inc. could begin selling the product, called Plan B, to women over the age of 18 without a prescription. Richter, which markets Plan B as Levonelle-2 in the European Union and as Rigesoft in Hungary, makes the contraceptive pill for Barr as a finished product. „The impact on Richter should be something like $5 million to $10 million” in new sales, said Péter Tordai, an analyst at the Budapest unit of KBC Groep NV. „It could double Richter's sales of this drug,” he said. Richter spokeswoman Zsuzsa Beke said it was too early to forecast the effect on the Budapest-based drugmaker's sales. Under the FDA rules, Plan B can only be sold by a pharmacist, rather than taken off the shelf by a customer, she said. US sales of Plan B contribute „a few million dollars” to Richter's annual revenue, Beke said on Aug. 1, declining to be more specific. Barr's Plan B sales exceed about $30 million a year in the US, Barr spokeswoman Carol Cox said. Sales may double if Plan B is made available over the counter, Barr's CEO Bruce Downey has said. Sales of gynecological drugs made up about 28% of Richter's sales in the H1. The company had sales of Ft 140.9 billion ($643 million) last year, with just under 10% of revenue coming from US exports. (Bloomberg)

ADVERTISEMENT

Reforms to raise productivity would strengthen recovery - OE... Analysis

Reforms to raise productivity would strengthen recovery - OE...

Meeting called to address Pegasus spyware lacks quorum  Parliament

Meeting called to address Pegasus spyware lacks quorum 

Skanska commercial dev unit names new EVP of operations Hung... Appointments

Skanska commercial dev unit names new EVP of operations Hung...

Zsa Zsa Gabor's ashes buried in Budapest City

Zsa Zsa Gabor's ashes buried in Budapest

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.